More Industries Feeling The Brunt Of Ethanol Subsidies
from the but-it's-alternative dept
Unintended consequences stemming from the federal government's love of ethanol continue to pop up in all corners of the economy. As we've seen, subsidies for corn are contributing to widespread "agflation", leaving businesses to deal with the challenges of higher commodity costs. As The Wall Street Journal notes, soap makers are getting hit particularly hard, as prices are up for beef tallow, a kind of fat that is an important ingredient in soap. Also, there's a new subsidy for companies turning animal fat directly into fuel, which will further shorten supplies of this ingredient. The plight of the soap makers isn't unique, and in fact it would be impossible to adequately anticipate all of the myriad effects of our ethanol policy. But it's clear that simply throwing money at any energy source deemed to be "alternative" is not particularly smart from the standpoint of the economy.Thank you for reading this Techdirt post. With so many things competing for everyone’s attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.
Techdirt is one of the few remaining truly independent media outlets. We do not have a giant corporation behind us, and we rely heavily on our community to support us, in an age when advertisers are increasingly uninterested in sponsoring small, independent sites — especially a site like ours that is unwilling to pull punches in its reporting and analysis.
While other websites have resorted to paywalls, registration requirements, and increasingly annoying/intrusive advertising, we have always kept Techdirt open and available to anyone. But in order to continue doing so, we need your support. We offer a variety of ways for our readers to support us, from direct donations to special subscriptions and cool merchandise — and every little bit helps. Thank you.
–The Techdirt Team
Reader Comments
Subscribe: RSS
View by: Time | Thread
Alternatives
Aren't there folks making soap from cotton seed or coconut oil? Perhaps it's time for a new soap recipe. If it's primary use is for cutting grease, just use one of the many emulsifiers that are around.
Don't flame, I'm just thinking outloud, I don't have the answers.
[ link to this | view in chronology ]
The idea originated with congress! Just how much intelligence did you expect?
[ link to this | view in chronology ]
Ted Turner
[ link to this | view in chronology ]
An idea doesn't have to be good. It's promoter just has to pay off the politicians.
Once and done. If they're in office - vote them out. Repeat forever.
[ link to this | view in chronology ]
The natural order
[ link to this | view in chronology ]
Oil gets subsidized too
[ link to this | view in chronology ]
[ link to this | view in chronology ]
phew
[ link to this | view in chronology ]
>.>
[ link to this | view in chronology ]
Ethanol is NOT the answer
I agree with electricity as a realistic alternative. Solar-powered cars is a reality today but then where will the money come from to build roads...
What a mess. I think I will go for a walk.
[ link to this | view in chronology ]
[ link to this | view in chronology ]
Alternative sources of lard
[ link to this | view in chronology ]
Sounds like Vivoleum
I guess their speech wasnt a parody but true.
[ link to this | view in chronology ]
Re:
[ link to this | view in chronology ]
Unintended consequences
[ link to this | view in chronology ]
Ethanol and Big Corn and Big Oil
When corn based ethanol was about 96 cents a gallon on the commodities market and Brazilian sugar cane based ethanol was about 52 cents a gallon big oil/corn had congress pass about a 44 cents tax on Brazilian sugar cane based ethanol.
52 + 44 = 96 Get it?
It's not a conspiracy just economics. Big corn is so tightly bound to big oil and has been since the days of refer madness. Corn is a crappy crop. Corn leeches all the nutrients out of the soil. Corn needs tons of fertalizer made from ammonia a by product of the oil refinery process. Big oil likes corn. That is why corn is subsidized. Other crops like hemp which magically got grouped with the canibus ban are much better producers as a crop and leave the soil in better shape then when they were planted. i.e. No need for ammonia based fertilizers. Big corn had hemp crops burned to the ground after the hemp tax stamp act/scam was created. By our government not issuing hemp tax stamps even to this day all hemp crops with out the hemp tax stamp are illegal. There is no process in place to get a hemp tax stamp. Our tax dollars at work. Squashing the open market one cheap and environmently friendly product at a time while funding propaganda to make it all seem like common sense.
Back to ethanol. Ethanol has always been an alternative fuel. Bo and luke Duke were always on the wrong side of the law for selling/producing it. Remember that episode with the super fuel? They ran their car on it. Imagine that a no toxic fuel that is better than gasoline but runs in cars without conversion. And its been available all this time. What a big surprise that it's only been legal on farms for farm nachinery use only all this time. Big oil have a hand in it? Kind of a rhetorical question. So that 10% ethanol mandate they sell with there propaganda and we eat it up. They used to let you have 0% ethanol in your tank and now they let you have 10% time to celebrate. Ha, not very funny.
And what exactly did you think farm aid was about or did you get short term memory loss from all that corn syrup in everything you eat. First we bankrupt small farms because those people are outside of the system. That means they are self sufficient or didn't you know they stick blue dye in farm based ethanol in farms? If you were from a farm town you'd know because the cops would be pulling you over periodically to check your tank with a stick to see if your fuel was blue. Big oil can't go letting the free market keep your money out of their pockets. That would be unamerican. Then the banks/oil/big growers swoop in and pick up all that land cheap and grow corn on it in preparation for ethanol. Corn based ethnol being the only way for americans to pay for their gasoline several times over via subsides on corn.
Watch Who Killed the Electric Car? if you want to get your head around the hydrogen economy propaganda. Wind power is already getting squashed by the new requirement that the FAA has to approve new wind towers. See hemp tax stamp above for a clue. i.e. put a windmill in your backyard and expect the same treatment as the Dukes of Hazzard get.
I mean wht kind of idiot doesn't see all the free energy sources provided as side effects of the sun all around them everyday. It made me think why doesn't every city with a river accessible to them harness that power witha water wheelor 300? It is renewable and for all practical purposes unlimited and free. Are they that unobservant or are they hamstrung by big oil. Cause you can bet after our politicians give out water power rights the same as they did for oil to big oil you'll be paying for it twice at a minimum and be thanking them for doing it because of the propaganda.
[ link to this | view in chronology ]
Re: Ethanol and Big Corn and Big Oil
Second: I wouldn't be basing any of my arguments off of what I saw on a fictional TV show.
I already know of people who use windmills, waterwheels, and solar panels to power their house. If they produce enough electricity to pump back into the normal electric grid, they get payed for it. (there's a law for that)
Windmills, waterwheels, and solar panels aren't easy to implement ether. There is a lot of work that goes into just picking the proper place to put them. Most of the people that I know that have them already make six figure incomes.
The electric car hasn't caught on because of several reasons. Not enough power to compare to a internal combustion engine. The battery doesn't last long enough. Look at how long it takes to charge a cell phone battery, at least an hour. Imagine how long it would take to charge a battery that runs your car. That's not a trip you could make to the local gas station on your lunch break.
I'm not saying that the oil companies aren't out to get every last cent you have (and I have no idea what your talking about with the blue fuel) but check your facts.
PS: ethanol will eat threw the gas lines of a normal car.
[ link to this | view in chronology ]
Re: Ethanol and Big Corn and Big Oil
[ link to this | view in chronology ]
Ethanol and Big Oil
[ link to this | view in chronology ]
On lipodiesel
http://gristmill.grist.org/story/2006/12/15/135249/27
[ link to this | view in chronology ]
Think About It
[ link to this | view in chronology ]
RE: Think About It
The import-substitution argument rarely holds up. If it did, the country could make itself richer by adopting a policy of autarky, making everything it needs and importing nothing. It is not happening because no politician wants to turn the USA into North Korea.
In short, there is no free lunch. Indeed, lunch is becoming more expensive nowadays thanks to the government-mandated diversion of crops into fuel.
[ link to this | view in chronology ]